Echo Global suffers $2.9M loss in Q1. Suspends guidance for 2020 amid COVID-19 pandemic
Echo Global Logistics, Inc. (NASDAQ: ECHO), a leading provider of technology-enabled transportation management services, today reported financial results for the quarter ended March 31, 2020.
“I’m very proud of the team at Echo and our response to these unprecedented times. In March, we quickly moved to a work from home environment, leveraging our industry-leading technology to seamlessly continue servicing shippers and carriers,” said Doug Waggoner, Chairman of the Board of Directors and Chief Executive Officer at Echo. “While there is much uncertainty ahead for all of us, we are confident Echo will play a key part in the economic recovery to come as our people and technology quickly adapt to an ever changing freight market.”
First Quarter 2020 Highlights
- Revenue increased 2.4% to $551.0 million from the first quarter of 2019; net revenue(1) decreased 9.0% to $89.9 million from the first quarter of 2019
- Truckload (“TL”) revenue increased 3.8% to $367.8 million from the first quarter of 2019; less than truckload (“LTL”) revenue increased 1.9% to $157.9 million from the first quarter of 2019
- Transactional revenue increased 3.9% to $428.4 million and Managed Transportation revenue decreased 2.6% to $122.7 million from the first quarter of 2019
- Net loss was $2.9 million in the first quarter of 2020, compared to net income of $3.5 million in the first quarter of 2019
- Fully diluted loss per share was $0.11 in the first quarter of 2020, Non-GAAP fully diluted EPS(1) was $0.19 in the first quarter of 2020
- Adjusted EBITDA(1) decreased to $14.9 million, compared to $21.7 million in the first quarter of 2019
2020 Second Quarter Guidance
“Due to the economic uncertainty caused by the coronavirus pandemic, we have suspended revenue guidance for the full year 2020. We expect revenue for the second quarter to be between $450 and $500 million,” said Kyle Sauers, Chief Financial Officer at Echo.
Echo also trimmed reduced its workforce by 154 employees or 6% of it’s total 2,527 employees.
